Problem 9-2 Aldo Inc. was reviewing its quarterly performance in providing servi

Question

Problem 9-2 Aldo Inc. was reviewing its quarterly performance in providing service to customers. An analysis of past order and shipping data shows that the Unit fill rate was 95%, Line fill rate was 90% and Order fill rate was 85%. Subsequently, new data for the current quarter has just been collected and is shown below. The senior executive is interested in knowing whether performance had improved. Orders Received 750 Total Units Ordered 34,000 Total Order Lines 4,800 Total Units Delivered 32,500 Total Complete Order Lines Delivered 4,550 Total Complete Orders Delivered 680 a. Calculate the unit, line, and order fill rate for Aldo. (Round your answers to 1 decimal place.) Unit fill rate Line fill rate Order fill rate b. How would you answer the senior executive? Performance improved

Explanation / Answer

9-2:

a)

b) Clearly, the performance has improved.

9-6:-

Orders Delivered=92.8%,

Orders Delivered on Time=91%,

Orders Delivered without damage=99% and

Orders with Correct Documentation=93%

Perfect Order Performance=92.8*91*99*93/1000000=77.8 %

9-8:

Orders Delivered=81.7%,

Orders Delivered on Time=89% (late as well as early delivery deducted),

Orders Delivered without damage=98.7% and

Orders with Correct Documentation=96%

Perfect Order Performance=81.7*89*98.7*96/1000000=68.90 %

Calculation Current Value Past Value Unit Fill Rate 32500/34000 95.6 95 Line Fill Rate 4550/4800 94.8 90 Order Fill Rate 680/750 90.7 85

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